Interim Management Statement

F&C Capital & Income Inv Tst PLC
28 January 2008

F&C Capital and Income Investment Trust PLC



Interim Management Statement



For the three month period to 31 December 2007



Investment objective

To secure long-term capital and income growth from a portfolio consisting mainly
of FTSE All-Share companies.



Performance summary
                                               At 31 Dec 2007         At 30 Sep 2007           % change

Net assets                                           £202.56m               £204.13m              - 0.8
Net asset value per share                             262.93p                258.76p               +1.6
Share price                                           243.25p                243.25p                  -
Discount to NAV per share                                7.5%                   6.0%                  -

Effective gearing                                        4.4%                   4.7%                  -

FTSE All-Share Index                                        -                      -              - 0.3





Key Portfolio Changes

There were relatively few changes to the portfolio during the quarter.  The most
significant were selling Standard Chartered, British Energy and Northern Rock,
with the proceeds reinvested in Barclays, Man Group and Royal Bank of Scotland.



Year to date review

Over the three months to 31 December, the Company's net asset value per share
increased by 1.6%, better than the decrease in the FTSE All-Share Index of 0.3%.



The biggest contributor to performance was the appreciation in value of the
Company's overweight investment in Rio Tinto as BHP made an initial approach.
An underweight position and stock selection in the banking sector were also
positive, as was an overweight position in the tobacco sector.  The most
significant negative was exposure within travel & leisure to Marstons, Luminar
and Punch Taverns, all of which performed poorly because of exposure to the UK
consumer.



The Company's level of borrowing within its £20m committed facility decreased
during the quarter from £10m to £8m.



In the three month period to 31 December 2007, 665,000 ordinary shares were
purchased and held in treasury at a total cost of £1,600,000.  There have been
no share buybacks since the 31 December 2007.  On 9 January the Company
cancelled 3,967,011 shares previously held in treasury.



The final dividend for 2007 of 2.40 pence per share is payable on 31 January
2008 to shareholders who were on the register on 4 January 2008.



The Board is not aware of any significant events or transactions which have
occurred between 31 December 2007 and the date of publication of this statement
which would have a material impact on the financial position of the Company.



First Interim Dividend for 2008

The directors have today declared a first interim dividend for 2008 of 1.80
pence per share to be paid on 31 March 2008 to shareholders registered on 8
February 2008.







Ten Largest Holdings


                                                                                     Percentage of total
                                                                                        investments at
 At 31 Dec 2007  At 30 Sep 2007
                                                                                             31 Dec 2007
                                Company
       1              (1)       BP                                                                   7.7
       2              (2)       Royal Dutch Shell                                                    6.2
       3              (6)       Rio Tinto                                                            5.7
       4              (4)       Vodafone Group                                                       5.6
       5              (3)       HSBC Holdings                                                        5.5
       6              (5)       GlaxoSmithKline                                                      4.8
       7              (7)       Scottish & Southern Energy                                           4.0
       8              (8)       British American Tobacco                                             3.7
       9              (10)      Tesco                                                                3.1
       10             (9)       Barclays                                                             3.0
                                Total                                                               49.3







Investment Portfolio by Sector
                                              Percentage of total       Percentage of total
                                            investments at 31 Dec     investments at 30 Sep
                                                             2007                      2007
Oil & gas                                                    15.5                      14.1
Basic materials                                               8.2                       7.6
Industrials                                                   4.3                       4.6
Consumer goods                                               12.4                      11.8
Health care                                                   7.0                       7.4
Consumer services                                             6.6                       7.3
Telecommunications                                            7.9                       7.5
Utilities                                                     9.3                      10.0
Financials                                                   21.7                      23.2
Europe                                                        7.1                       6.5





Annual General Meeting

The Directors announce that all resolutions proposed at the Annual General
Meeting held earlier today were duly passed.  A copy of the resolutions
concerning special business passed has been submitted to the UK Listing
Authority and will be available for inspection at the UK Listing Authority's
Document Viewing Facility, which is situated at: Financial Services Authority,
25 The North Colonnade, Canary Wharf, London E14 5HS, telephone [phone].



Daily and Key Information

Further information regarding the Company, including monthly factsheets and
daily net asset values published since the end of the period, can be found at
the Company's website on http://www.fandc.com/







By order of the Board

F&C Management Limited, Secretary

28 January 2008




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